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Air pollution and labour productivity : an empirical analysis on French data

This project aims at examining the determinants of the impact of air pollution on labour productivity and at studying the heterogeneous impact on workers of different skills and education. This project aims to address these research questions with French micro data that would allow a comprehensive analysis of the heterogeneous effects of air pollution, while controlling for unobservable characteristics through individual fixed effects, which so far have not been addressed using micro-level data. This project proposes an innovative identification to avoid the endogeneity of pollution on labor productivity by using two complementary methodologies : the application of an IV methodology as well as an event study. The aim is hereby to separate the different determinants of the impact of pollution on productivity as well as to quantify their magnitude for different socio-economic groups.